Hmm..so there isn't much to report today since there were no major news events concerning the Dollar. However, an interesting thing to look it as the fact that the Dollar has pretty much gained back all of its losses it suffered during the Thanksgiving day fiasco. Can you say reversion to the mean?
Nothing worth mentioning!
The Euro ended up retracing back to the 38% Fib line on the daily chart like I thought it would, but I wouldn't say it was anything stellar. Daily stochastics is still oversold and 4hr stochastics is trending up which means we could still see more upward movement. Since tomorrow is another light economic day I don't expect too much, but I do see a good probability that the pair will hit 3050.
Darn! The Cable did end up making its way to 9400 like I said yesterday, but unfortunately my trade wasn't triggered. I thought the pair might still fall to 61% Fib line before moving back up. At this point, all signs are pointing towards a continuing upward swing, and the next target looks to be around 9450, which is where the 38% Fib line is.
Buy at market (9390); Stop Loss= 9330; Target= 9450
The Swissy did end up moving slightly past its 100 & 200 SMA before falling back down. Daily stochastics is overbought and 4hr stochastics seems to be trending down so my best guess is that the pair will fall to at least 2300. If it falls further than that, look for it to face support at around 2270, which is where the 50 SMA is on the 4hr chart.
The Yen lost some of its downward momentum but I still think the pair may head down after it makes a run towards 119.00 . Daily stochastics is still heading down so I am still optimistic that the pair will at least get down to 118.00.
Prepare for the markets to follow the technicals again since there are no economic reports tomorrow.
- Yen Trade Review- 01/08/07 18:35 08 January 2007
- Another day of blah! 19:00 09 January 2007
- The Dollar Continues Its Run 16:28 22 February 2007
- Markets Continue With The Madness 18:28 08 February 2007
- The Sterling rallies hard against the Dollar after the BOE minutes release 15:51 23 May 2007